ETF urged for the eradication of social dumping practices in Inland Waterways Transport (IWT), saying that IWT functions without having flag state legislation.
As a result, ETF notes that it is challenging to indicate the national applicable labor law to those working in this de facto cross-border transport mode.
For the nautical crew on board of the IWT vessels, the issue is much better organised and determined by the long-standing Rhine principle. It links the applicable law and social security to the EU member states, where the operator has its seat, de facto one of the Rhine riparian countries
However, ETF added that for the large majority of the hotel, restaurant, and catering staff active in the passenger side of the sector this is not the case. “Dubious corporate structures are developed to diffuse the link between the employee and the operator.”
Usually, these crewmembers are recruited via crewing agencies located in Malta, Cyprus, or even beyond, such as Indonesia, or the Philippines, on a seasonal basis.
Often these crewmembers have to apply each year for the same job and, at times, have to pay more than a month’s salary to the crewing agent.
The European Commission directs that all EU Member States transpose IWT- related legislation except for Malta and Cyprus. For geographical reasons – both EU member states are islands – and thus, de facto, they do not have IWT on their territory.
However, both member states open their maritime register to thousands of the River Cruise Hotel staff. Due to these practices, many thousands of River Cruise crewmembers have no social security coverage, no pension to look forward to, and no coverage whatsoever in case of illness or accident
As the European Commission is conducting a fitness check – including the 883/2004 regulation on the coordination of social security systems – the ETF strongly urges the Commission to close the loopholes once and for all to ensure decent social security rights for all activities in the IWT sector.